On December 22, 2017, Congress amended the Internal Revenue Code (IRC) by adding Sections 1400Z–1 and 1400Z–2. These sections provide tax incentives to investors that reinvest certain specified gains into Qualified Opportunity Funds that in turn deploy these resources into population census tracts designated as Opportunity Zones.
The authority to implement IRC 1400Z-1 and 1400Z-2 has been delegated to the Internal Revenue Service (IRS). The CDFI Fund is supporting the IRS with the Opportunity Zone nomination and designation process under IRC 1400Z-1.
The resources below provide the Chief Executive Officers (CEOs) of States (including the District of Columbia and U.S. possessions) with a Nomination Tool and Nomination Instructions for nominating low-income community (LIC) population census tracts and eligible non-LIC contiguous population census tracts in their States as Qualified Opportunity Zones (QOZs) for purposes of IRC 1400Z–1 and 1400Z–2. In general, the CEO of a State must nominate census tracts to be QOZs not later than March 21, 2018 (the determination period), unless a one-time, 30-day extension (to April 20, 2018) is requested by the CEO of the State. Furthermore, the Secretary of the Treasury has 30 days beginning on the date a nomination is received to certify the nomination and designate the nominated tracts as QOZs (the consideration period). See IRS Rev. Proc. 2018-16 (February 8, 2018) for more information.
Additional information necessary to complete the nomination has been provided directly to the CEO of each State.
For questions on the Opportunity Zone nomination and designation process:
Phone: (202) 653-0406
E-mail: OpportunityZone@cdfi.treas.gov